Settlement 'major win' for Qualcomm, also positive for Apple, says Wedbush
Wedbush analyst Daniel Ives says that in a "surprise move," Apple (AAPL) and Qualcomm (QCOM) announced an agreement to dismiss all litigation between the two companies in a wide-reaching settlement. While Qualcomm expects a more meaningful financial impact, Apple can also "rest a little easier" as the risks of 5G and settling with Qualcomm take an overhang away from the name, he contends. The analyst believes this was a "major win for Qualcomm" as fears of a loss in the courts was a major cloud over the name with Apple going after this IP issue full steam ahead. This also removes uncertainty with Apple as the company now needs to move forward and focus on 5G front and center with Qualcomm in the rear-view mirror, he adds. Ives reiterates an Outperform rating and a $225 price target on Apple shares.